Is this solution right? (find surplus, given demand eqn)

[noname1234]

Suppose that the demand for mailboxes can be modeled by D(p)=650(0.9)p thousand mailboxes where p is the price in dollars of the mailbox.

(A) find the quantity of mailboxes consumers will purchase if the market price is $16.

For (A), I got 120.4

(B) Find the consumers surplus when the market price is $16

For (B) I got 134.2

Are these right?

 

[tkhunny]

"A" is good, assuming you meant 0.9^p.

You'll have to define "Consumer Surplus"